Which one do you think is better quality?
Left or right?
Prices helped you decide, didn’t they?
Hold on to your answer, and imagine this scenario:
It’s your sister’s birthday and you want to buy her something truly special and memorable.
So you start browsing through Pinterest to find inspiration and you type : “gifts ideas for a sister” in the search bar.
After looking through results you stumble upon a beautiful necklace design with an option to engrave a personalised message.
The thing is….there are quite a few shops selling this very design, so you start looking through a few of them.
All these shops look the same and necklaces are priced similarly, at around $35.
This seems like a good deal, but you want something special and unique. You want good quality.
“Is this good quality?” – you ask yourself….
Then suddenly, you stumble upon an online boutique that feels different than others…
The products curation makes you feel like you’re being served by a real person, in a real boutique.
Their products visuals are stunning and everything looks really appealing.
You see they have a necklace that is a similar design to others you saw before. It’s beautifully presented and *you can already imagine* your sister wearing it.
Then you look at the price and it’s $160…
In your head, you immediately make a judgment: “This must be better quality than others I saw”.
You buy the necklace, add a gift wrap and are confident you found something you’ll be proud to give to your sister.
Phew! Gift sorted.
Ever experienced that?
I’m going to assume you have, because most of us have, at some point.
I’m going to also assume, you think the necklace on the right is higher quality.
Am I right? Leave a comment below and let me know.
See, our world is busy and highly dynamic. For us to function in the amount of decisions we need to face daily, our brains use shortcuts.
We decide on stuff once, and then we don’t think about them much anymore.
It just works.
This way we can make decisions faster and most of the time we are right.
It allows us to do other stuff, rather than spend all our days analysing all the details of everything around us.
If we did that, we’d still probably be living in caves.
What does it have to do with jewellery, you ask?
Well, a lot, actually.
The higher price rule is one of the shortcuts we use.
Most of us learned in our lives that something cheap is usually bad quality, therefore if you want good quality you need to pay more.
So if we have 2 similar items next to each other and one is priced higher, we will go for the more expensive one, as there is a bigger chance it will actually be really good.
That’s why, if you are trying to create a luxe brand (which I know you DO if you’re here), you need to ask yourself these questions:
- Are my prices attracting people who are looking for high value?
- Are my prices repelling those who are looking for a bargain?
If your answers are YES to both questions, that’s amazing. You’re on your way to position your brand as a premium.
If not, you may want to think about this:
- Am I worried if I raise my prices nobody will buy?
- Am I looking at my competitor’s prices and trying to match mine to them?
Most of the time our misconceptions, beliefs about the world or assumptions about our clients and customers make us sabotage our brands positioning.
A client who wants high quality prioritises the quality, not the price.
They are repelled by a small price.
Just like you’d assume a cheap Chanel bag is a fake.
Raising prices is NOT as simple as just changing the numbers on your website though.
Your whole brand needs to be elevated to match the quality of your products.
Your whole experience needs to say “I’m good quality and I’m expensive”.
Your whole brand needs to actively repel people who are only looking for deals, bargains and cheap products.
Your brand messaging needs to speak to your ideal customers deepest desires.
This is when you’re going to attract people who are ONLY looking for unique, great quality pieces.